Frasers Group to cover fees owed to Harvey Nichols stylists
Frasers Group will pay in full the personal shoppers and stylists owed money by Harvey Nichols under its former ownership, with most payments expected within 72 hours.
The retail group described the payments as ex gratia, meaning they are being made as a goodwill measure rather than as a legal obligation arising from its acquisition of the department store.
The affected self-employed workers supplied services to Harvey Nichols before it entered administration. Without Frasers’ intervention, their outstanding payments would have been dealt with through the administration process and may have taken longer to resolve.
Frasers said it had identified a significant number of people with outstanding claims and would fast-track the payments.
A Frasers Group spokesperson said: “Whilst this would normally be a matter for the administrator with no obligation falling upon Frasers Group, we would like to reassure these individuals that we will ensure they are paid swiftly and in full.”
It will also change how Harvey Nichols pays personal shoppers and stylists who work with the business in future. Payments will be made monthly rather than quarterly, shortening the period between completed work and remuneration.
The news comes after Frasers took control of Harvey Nichols on 13 August via an administration process. The deal included six UK stores, the online business, inventory, international franchise agreements and more than 1,000 employees.
The Knightsbridge flagship and stores in Manchester, Birmingham, Bristol, Leeds and Edinburgh have continued trading. However, its Dublin store was excluded from the continuing store arrangements. Frasers acquired its stock and fixtures, while the Irish operating company entered liquidation with net liabilities of €28.2 million.
The goodwill payments follow a separate decision to exclude purchases made before 13 August from Harvey Nichols’ current returns and refunds policy. Those transactions remain linked to the retailer’s former ownership and administration estate, while purchases made from the takeover date are covered by its standard policy.
